Southeast Asia’s marine-focused blue economy programmes will continue unabated despite reports of the United Kingdom slashing its international climate aid budget, say programme leads from the region.
To continue reading, subscribe to Eco‑Business.
There's something for everyone. We offer a range of subscription plans.
- Access our stories and receive our Insights Weekly newsletter with the free EB Member plan.
- Unlock unlimited access to our content and archive with EB Circle.
- Publish your content with EB Premium.
UK programmes to protect nature and the climate in developing countries are suffering budget cuts despite the government’s claims to be fulfilling international obligations on climate finance, reports have said.
One initiative, the Blue Planet Fund, which has earmarked £500 million (US$666 million) for supporting marine protection in developing countries like the Philippines, Indonesia and Vietnam, is in question. The UK has been reported to provide only £9 billion (US$12 billion) over five years for international climate finance starting April this year – a reduction compared to £11.6 billion (US$15 billion) over five years.
This is despite the UK’s international climate funding commitments previously doubling every five years and the high-income country playing a significant role at COP29 in 2024 to secure a global agreement to triple international climate finance.
The Philippines, which received a US$450,000 grant from the Blue Planet Fund to establish initiatives for its blue carbon economy, will be relying on domestic funding to step up and drive the next phase of its programme, said Germain De Ruña, project manager and communications lead of the National Blue Carbon Alliance Partnership (NBCAP) under nonprofit Zoological Society of London (ZSL).
The organisation is a key partner of the Department of Environment and Natural Resources (DENR), which is overseeing the execution of the country’s blue carbon roadmap.
“In light of evolving financing landscapes, the next steps include deeper integration of blue carbon into domestic budget planning, stronger engagement with multilateral climate and biodiversity funds, expanded private sector participation, and continued work on carbon market readiness at both national and local levels,” De Ruña told Eco-Business.
“While any funding gap may affect the pace of certain activities, it is not expected to dramatically alter the overall direction, given the strong government ownership and diversification efforts already underway,” she added.
As an archipelagic state, more than half of Filipinos live along the coast and depend directly or indirectly on ocean‑based activities for food and livelihoods. The blue economy contributes almost 4 per cent of its gross domestic product (GDP), about P1 trillion (US$17 billion) in recent years, and supports more than two million jobs in fishing, shipping, coastal tourism and related services, with strong growth potential if managed sustainably.
Continued financing through COAST
The Blue Planet Fund has also provided Indonesia and Vietnam funding, geared towards coastal resilience and blue economy initiatives. The Climate and Ocean Adaptation and Sustainable Transition (COAST), the flaship programme under the Blue Planet Fund, told Eco-Business that there will be no changes to its funding support as it “continues to deliver [financing] in close coordination with our funder and country partners.”
COAST has delivered up to £18 million (US$24 million) over five years to Indonesia in support of conservation and restoration of its blue carbon ecosystems, which account for roughly 17 per cent of the world’s blue carbon reservoirs.
The funding represents a crucial step in de-risking blue carbon projects, catalysing local partnerships to create viable and attractive blue carbon investment opportunities, said the programme.
Indonesia’s blue economy, the largest in Southeast Asia, is valued at US$256 billion annually or more than a quarter of its GDP. Government roadmaps aim to double the blue economy’s GDP contribution to up to 15 per cent by 2045 and create up to 45 million additional jobs, positioning a greener ocean economy as a way out of the middle‑income trap
Vietnam received £17.5 million (almost US$24 million), which provides technical assistance, and grants for community‑led mangrove and seagrass restoration and protection initiatives that improve coastal defence and support fisheries and other local livelihoods.
Coastal and marine areas contribute roughly half of Vietnam’s GDP and around 80 per cent of total fisheries catch, anchoring export revenues and local livelihoods. Millions of Vietnamese rely directly on coastal fisheries and aquaculture for income and protein, with about 46.6 million people living in coastal provinces.
